In a surprising move, Saudi Arabia’s Crown Prince Mohammed bin Salman has called for the establishment of a Palestinian state within the 1967 borders, with East Jerusalem as its capital. The Crown Prince made this statement in an interview with the Saudi-owned Al Arabiya TV channel, which aired on Sunday.
The 1967 borders refer to the lines that existed before the Six-Day War, when Israel captured the West Bank, Gaza Strip, East Jerusalem, Sinai Peninsula and Golan Heights from its Arab neighbors. The international community considers these territories to be occupied by Israel, and most of them are claimed by the Palestinians as part of their future state.
The Crown Prince’s statement is a significant departure from the traditional Saudi position, which has been to support the Arab Peace Initiative of 2002. The initiative, endorsed by the Arab League, offers Israel full normalization of relations with the Arab world in exchange for a complete withdrawal from the occupied territories and a just solution for the Palestinian refugees.
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The Crown Prince did not explain why he changed his stance on the Palestinian issue, but he said that he hoped that his proposal would lead to a peaceful resolution of the conflict and a better future for both peoples. He also said that he respected the right of Israel to exist and to have security, and that he was willing to cooperate with Israel on regional and global issues of mutual interest.
The Crown Prince’s statement has drawn mixed reactions from different parties. The Palestinian Authority welcomed it as a positive step towards ending the occupation and achieving a two-state solution. Israel, however, rejected it as unrealistic and unacceptable, saying that it would not return to the indefensible 1967 borders or divide Jerusalem.
The United States, which has been mediating between Israel and some Arab countries to normalize their ties, said that it appreciated the Crown Prince’s efforts to advance peace, but that it supported a negotiated solution based on mutual recognition and compromise. Some Arab countries, such as Egypt and Jordan, which have peace treaties with Israel, expressed their support for the Crown Prince’s initiative, while others, such as Iran and Turkey, criticized it as a betrayal of the Palestinian cause.
Reports of Hamas’ crypto use could blunt impact of Coinbase lobbying efforts: Berenberg.
The recent news that Hamas, the militant group that controls the Gaza Strip, has been using cryptocurrency to fund its activities has raised concerns about the potential impact of such transactions on the global financial system. Hamas, which is considered a terrorist organization by many countries, including the US and the EU, has reportedly received millions of dollars in bitcoin donations from supporters around the world.
This development could pose a challenge for Coinbase, the largest cryptocurrency exchange in the US, which has been lobbying for more favorable regulations and recognition of digital assets. Coinbase, which went public in April 2021, has hired several former government officials and politicians to advocate for its interests and educate policymakers about the benefits of crypto innovation.
However, Berenberg, a German investment bank, has warned that Coinbase’s efforts could be undermined by the negative perception and reputation risks associated with crypto use by illicit actors. In a report published on October 20, 2021, Berenberg analysts said that Coinbase’s lobbying strategy could backfire if regulators and lawmakers associate crypto with terrorism financing, money laundering, tax evasion and other criminal activities.
Berenberg argued that Coinbase’s main challenge is not to convince regulators that crypto is safe and secure, but rather to demonstrate that crypto can contribute to social and economic goals, such as financial inclusion, innovation and growth. The report suggested that Coinbase should focus on highlighting the positive aspects of crypto, such as its potential to empower individuals, communities and businesses, rather than defending its legitimacy and legality.
The report also recommended that Coinbase should collaborate with other stakeholders in the crypto industry, such as other exchanges, platforms, developers and users, to establish common standards and best practices for compliance, transparency and accountability. Berenberg said that such a collective approach would help to create a more favorable environment for crypto adoption and innovation, as well as to mitigate the risks of regulatory backlash and public distrust.